Best Stocks To Swing Trade in 2024
Key Takeaways:
- Amazon (AMZN) and Microsoft (MSFT) showcase consistent price movements and are ideal for swing trading strategies.
- Nvidia (NVDA) and Advanced Micro Devices, Inc. (AMD) present high-volume trading opportunities with the potential for future growth driven by advancements in AI technology.
- Meta Platforms, Inc. (META) offers lucrative trading prospects despite past setbacks with its diversified social media services and consumer electronics portfolio.
- Iqiyi Inc. (IQ) displays a wide price move range, making it suitable for traders seeking volatility in their trading strategies.
Have you recently considered the best stocks to swing trade in 2024? What stocks are currently among the most crucial and profitable, with low interest rates and risks of losing your investments?
Primarily, swing trading has been one of the most popular online business activities around the globe. Swing trading involves seeking short- to medium-term profits in stocks or other financial instruments over a period ranging from a few days to several weeks.
It’s important to note that Swing traders predominantly employ technical analysis to identify potential trading opportunities while also considering fundamental analysis and analysing price trends and patterns.
Since it’s been one of the most profitable trading activities, numerous investors seek to find the best stocks to swing trade in 2024! So, if you’ve been thinking about how to find the best swing trade stocks, look no further!
Here is our pick!
Introduction to Swing Trading
Swing trading is a dynamic strategy that capitalises on short-to-medium-term price movements in the financial markets. Unlike day trading involves buying and selling assets within the same day, swing trading typically spans a few days to several weeks. This approach aims to capture gains from short-term fluctuations in stock prices while avoiding the need to monitor the markets constantly.
In today’s rapidly evolving market dynamics, swing trading has gained popularity due to its flexibility and potential for significant profits within relatively short time frames. It allows traders to exploit market volatility and capitalise on upward and downward price movements.
Criteria for Selection – Short-to-Medium Term Profitability
Identifying stocks with potential short-to-medium-term profitability is crucial for successful swing trading. Traders look for stocks that exhibit clear trends and patterns conducive to swing trading strategies. The e-stocks often have catalysts such as earnings reports, product launches, or industry developments that can drive short-term price movements.
Swing traders aim to maximise their returns while minimising their exposure to long-term market risks by focusing on short-to-medium-term profitability. This approach allows for more frequent trading opportunities and flexibility in adapting to changing market conditions.
Technical and Fundamental Analysis
Swing traders rely on a combination of technical analysis and fundamental analysis to identify potential trading opportunities.
1. Technical Analysis:
This involves analysing historical price data, chart patterns, and technical indicators to forecast future price movements. Technical analysis helps traders identify key support and resistance levels, trend reversals, and entry/exit points for trades.
2. Fundamental Analysis:
Fundamental analysis involves evaluating a company’s financial health, industry trends, and macroeconomic factors to assess its intrinsic value. Swing traders may consider factors such as earnings growth, revenue forecasts, and competitive positioning to determine the long-term prospects of a stock.
By combining technical and fundamental analysis, swing traders can make more informed trading decisions and increase their chances of success in the market. This comprehensive approach allows for a deeper understanding of the underlying factors driving price movements and helps traders navigate the complexities of today’s financial markets.
Top Picks for Swing Trading in 2024:
Explore the lucrative opportunities ahead with our expertly curated selection of swing trading prospects for 2024:
1. Amazon (AMZN)
Since its inception in 1994, Amazon.com, Inc. has emerged as one of the globe’s most influential corporations. Its offerings span publishing, cloud computing, online commerce, and digital streaming.
The surge in online shopping during the major pandemic in 2020 sparked a robust upward trajectory in AMZN stock. Des ite experiencing a nearly 51% decline in its share price in 2022, AMZN witnessed an uptick of almost 49% in 2023.
AMZN’s Appeal for Swing Trading:
AMZN continues to stand out as one of the premier stocks for swing trading, attributed to its consistent price movements and substantial intraday trading volumes. This makes it an optimal choice for swing traders implementing a swing trading strategy, particularly those looking for short or medium-term trades.
Long-term investors need to understand and manage the fluctuations in stock market investments. Considering how well AMZN performs compared to overall market trends is important. This enables investors to make well-informed investment decisions by monitoring the stock market fluctuations. It can assist all investors to stay on track with their long-term financial goals.
Given its tendency to trail the market, investors should closely monitor resistance levels and breakout signals, particularly following the conclusion of the holiday shopping season.
The current AMZN stock price is 180.00 USD (the price is likely to change, so keep track of it on the major marketplaces)
2. Microsoft (MSFT)
Microsoft Corporation was started by Bill Gates and Paul Allen in 1975. It’s now one of the top technology companies globally.
A significant player in consumer and enterprise software and electronics, Microsoft’s list of flagship products includes the Windows operating system, Microsoft 365 applications, and the Xbox gaming console.
MSFT: A Prime Pick for Swing Trading
MSFT consistently ranks among the top swing trading stocks because of its stability and steady price action. Over the past year, its price rose 38% from $232.90 to $315.75.
When swing trading MSFT, identify the optimal times to buy and sell. This should be based on price fluctuations in various time frames and market conditions. Utilising the 50-day moving average as a lower trend line can serve as a useful tool in this strategy, aiding in tracking price fluctuations effectively.
Adapting strategies tailored to market conditions and avoiding common pitfalls like trading penny stocks, ensuring a balanced approach to swing trading with MSFT is essential.
The current MSFT stock price is 417.88 USD (the price is likely to change, so keep track of it on the major marketplaces)
3. Nvidia (NVDA)
Nvidia Corporation is a multinational technology company based in Santa Clara, California, and incorporated in Delaware. NVD showed early fluctuations on Tuesday yet anticipated gains from increased AI investment.
With Nvidia’s shares dipping slightly to $942.21 in early trading and closing at $950.02 on Monday, attention turns to potential spending by major U.S. customers on next-gen AI hardware.
Day Traders’ Interest and Analyst Projections
Day traders closely monitor the company’s prospects following the recent introduction of Blackwell chips. Ana ysts anticipate significant increases in capital expenditures by tech giants such as Amazon, Google, Meta Platforms, and Microsoft, totalling over $175 billion this year.
Nvidia expects slower growth, around a low-teens percentage, by 2025, matching their positive revenue predictions.
Supporting this positive outlook, SK Hynix intends to invest $4 billion in a chip-packaging facility in Indiana, underscoring confidence in Nvidia’s future.
The current NVDA stock price is 859. 05 USD (the price is likely to change, so keep track of it on the major marketplaces)
4. Advanced Micro Devices, Inc. (AMD)
Advanced Micro Devices, Inc., known as AMD, is one of the world’s largest semiconductor companies, headquartered in Santa Clara, California. AMD specialises in developing computer processors, motherboard chipsets, and FPGAs.
Established in 1969, AMD went public in 1972 but struggled to compete against heavyweights like NVIDIA and Intel. However, in 2018, AMD’s stock surged by 70% due to increased revenue from microprocessor and graphics processor sales. Despite market volatility in 2022, AMD shares have seen a remarkable 276% growth over the past 5 years.
High-Volume Trading and Future Growth
Interest in AMD remains high, with daily high-volume trading activities. Launching its new low-latency FPGAs and AI chips will drive further growth in 2023 and beyond.
For traders navigating volatile stocks like AMD, a solid trading plan is essential to capitalise on real-time opportunities while managing risks effectively.
The current AMD stock price is 165.83 USD (the price is likely to change, so keep track of it on the major marketplaces)
5. Meta Platforms, Inc. (META)
Founded by Mark Zuckerberg in 2004, META specialises in social media services, virtual reality, and consumer electronics. Its product catalogue includes popular applications like Facebook, WhatsApp, and Instagram.
Despite META’s stock dropping heavily in 2022 because of problems with its “Metaverse” plan, it’s still a good choice for quick trading. Starting at $88.91 on November 3, 2022, META’s stock climbed to $326.20 on July 28, 2023—a big increase.
Trading Opportunities with META
META is beneficial for both novice and seasoned traders seeking quick trading opportunities. It experiences significant movement and involves substantial capital, presenting ample chances for profit.
However, it’s crucial to accurately time buying and selling decisions and employ stop-loss orders to mitigate risks and ensure safety.
The current META stock price is 510.92 USD (the price is likely to change, so keep track of it on the major marketplaces)
The Best Penny Stocks To Swing Trade
If you were looking for the best low-cost stocks to swing trade as of March 2024, here is what we present:
1. Ardelyx (ARDX)
Analysts project a price target range of $11.00 to $15.00 for Ardelyx, with an average target indicating a 64.80% increase from the current price of $7.84. The consensus among analysts rates Ardelyx as a Strong Buy.
2. VAALCO Energy (EGY)
Vaalco Energy Inc. has a price target range of $7.25 to $9.98, with an average target indicating a 38.09% increase from the current price of $6.17. Ana ysts rate Vaalco Energy as a Strong Buy, based on the consensus of 3 Wall Street analysts.
3. Iovance Biotherapeutics (IOVA)
Based on analysts’ average price target, Iovance Biotherapeutics Inc. shows a promising upside potential of 73.10%. This projection is crucial for traders looking for optimal entry and exit points.
Comprehending price action and potential price fluctuations enables traders to make well-informed decisions regarding their stock positions. With a consensus rating of Strong Buy, supported by 13 buy ratings, Iovance Biotherapeutics Inc. presents a compelling opportunity for investors seeking favourable price dynamics.
4. iQI I Inc. (IQ)
With the highest analyst price target at $9.00 and the lowest forecast at $3.60, Iqiyi Inc. displays a potential price move range.
The average price target indicates a 59.16% increase from the current price of $4.04. Iqiyi Inc. maintains a Strong Buy consensus rating derived from ratings provided by 6 Wall Street analysts.
5. Sav ra (SVRA)
According to analysts ‘ average price target, Savara shows a significant upside potential of 96.39%. This optimistic projection suggests an opportunity for substantial gains. The consensus rating of Strong Buy, supported by 4 buy ratings, underscores the positive sentiment surrounding the stock.
However, prudent risk management is essential despite the favourable outlook. The average price target for Savara stands at $9.25, indicating potential price appreciation, but investors should remain vigilant in managing potential risks associated with their investments.
Conclusion
In conclusion, the best stocks for swing trading in 2024 offer enticing opportunities for short-to-medium-term profitability. Prime selections such as Amazon (AMZN), Microsoft (MSFT), Nvidia (NVDA), Meta Platforms, Inc. (META), Advanced Micro Devices, Inc. (AMD), and Iqiyi Inc. (IQ) demonstrate consistent price movements and high-volume trading potential.
Despite past setbacks, these stocks present lucrative prospects for traders seeking volatility in their strategies. Investors can capitalise on these opportunities by strategically analysing technical and fundamental indicators, maximising returns while effectively managing risks. Thus, these stocks stand out as promising options for traders aiming to navigate the dynamic landscape of swing trading in 2024.
